Medalist Diversified REIT, Inc. Announces Establishment of a Special Committee of the Board and Exploration of Strategic Alternatives

Rhea-AI Summary

Medalist Diversified REIT, Inc. (NASDAQ: MDRR) has established a Special Committee of independent directors to explore strategic alternatives aimed at maximizing stockholder value. This initiative may involve a business combination, asset sales, joint ventures, or restructurings. The Committee has engaged Jones Lang LaSalle Securities, LLC as its financial advisor and Troutman Pepper Hamilton Sanders LLP for legal counsel. No guarantees are provided that these explorations will lead to any transactions, and the Company does not have a set timetable for the process. Updates will be shared only as required by law or deemed appropriate.

Positive

• Formation of a Special Committee to explore strategic alternatives.
• Engagement of reputable financial and legal advisors.

Negative

• No assurance that strategic alternatives will yield successful transactions.
• Lack of a formal timetable for the exploration process.

RICHMOND, Va.--(BUSINESS WIRE)-- Medalist Diversified REIT, Inc. (NASDAQ: MDRR) (the “Company” or “Medalist”), a Virginia-based real estate investment trust that specializes in acquiring, owning and managing value-add commercial real estate in the Mid-Atlantic and Southeast regions of the United States, today announced that its Board of Directors (the “Board”) has established a Special Committee of the Board (the “Special Committee”) to explore potential strategic alternatives focusing on maximizing stockholder value.

The Special Committee is comprised solely of independent directors and is charged with exploring potential strategic alternatives, including, without limitation, a business combination involving the Company, a sale of all or part of the Company’s assets, joint venture arrangements and/or restructurings, and determining whether a strategic transaction is in the best interests of the Company. The Special Committee has retained Jones Lang LaSalle Securities, LLC to act as its financial advisor and Troutman Pepper Hamilton Sanders LLP as its legal counsel.

There can be no assurance that the strategic alternatives exploration process will result in any transaction being pursued or consummated. There is no formal timetable for the Special Committee’s completion of its exploration of potential strategic alternatives, and the Company does not intend to disclose any developments with respect to the Special Committee’s activities unless and until the Company determines that further disclosure is appropriate or required by law or regulation.

Forward-Looking Statements

This press release contains statements that are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. Forward looking statements are not historical and are typically identified by such words as “believe,” “expect,” “anticipate,” “intend,” “estimate, “may,” “will,” “should” and “could” and include statements about the Special Committee’s exploration of potential strategic alternatives and the impact, if any, of such explorations and results from such explorations on the Company and stockholder value. Forward-looking statements are based upon the Company’s present expectations, but are not guarantees or assurances as to future developments or results. Factors that may cause actual developments or results to differ from those reflected in forward-looking statements include, without limitation, those included in the Company’s most recent Annual Report on Form 10-K and in the Company’s other filings with the SEC. Investors should not place undue reliance upon forward-looking statements. The Company disclaims any obligation to publicly update or revise any forward-looking statements to reflect changes and new developments except as required by law or regulation.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230310005329/en/

 Brent Winn

Medalist Diversified REIT, Inc.

804-338-7708

brent.winn@medalistprop.com

Source: Medalist Diversified REIT, Inc.

FAQ

What is the purpose of the Special Committee established by Medalist Diversified REIT, Inc.?

The Special Committee aims to explore strategic alternatives to maximize stockholder value.

Who are the financial and legal advisors for the Special Committee of Medalist Diversified REIT, Inc.?

Jones Lang LaSalle Securities, LLC is the financial advisor, and Troutman Pepper Hamilton Sanders LLP is the legal counsel.

What strategic alternatives is Medalist Diversified REIT, Inc. considering?

The Company is considering business combinations, asset sales, joint ventures, and restructurings.

Is there a timeline for the exploration of strategic alternatives by Medalist Diversified REIT, Inc.?

No formal timetable has been established for the completion of the exploration process.

What risks are associated with the strategic alternatives exploration for MDRR?

There are no guarantees that the exploration will result in successful transactions or value for shareholders.